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Switzerland reports financial stability | European Business Travel News

Swiss International Air Lines (Swiss) has returned to financial stability after state-backed financial support and a corporate restructuring in 2021, the carrier said on Thursday.

Part of the Lufthansa Group, Swiss terminated its bank loan facility guaranteed by the Swiss Confederation last month, more than two years ahead of the 2025 end date.

The carrier said it had never drawn more than half of the total loan amount available under the facility, which was established to combat the fallout from the Covid-19 pandemic, and that it had paid a total of 60 million francs (57.5 million euros) in interest and fees during the term of the loan facility.

Swiss was also backed by loans of 500 million francs from the Lufthansa Group and said it would cover its future capital market financing needs through the Lufthansa Group.

Meanwhile, the airline’s restructuring in 2021 has seen it cut its fleet by around 15% and its workforce has been cut by 1,700 full-time positions.

Swiss chief financial officer Markus Binkert said the company’s actions are now having an effect.

“After suffering cumulative losses of more than CHF 1 billion over the past two years, we have now been able to bring Switzerland back to financial stability and have generated positive cash flow in the first quarter of this year,” he said. he declared.